TIM Report: Profit Taking Results In Less Bullish Market Sentiment

According to the recent TIM (Trade Ideas Monitor) report for the week of October 16-22, 2009, increased profit taking resulted in drops in market sentiment in the U.S., with the TIM Sentiment Index (TSI) was down 8.32 points in North America to a significantly lower, but still bullish 51.01 (see last week's post and the youDevise website for additional information on the TIM report, a reading above 50 is bullish). The TSI Worldwide Index was down 5.57 points, falling into bearish territory at 48.03. Eight sectors were in bearish territory, with two bullish. Total new long ideas as a percentage of all new ideas sent to investment managers by way of the TIM decreased 5.81 points to 65.41%.

As for individual securities in the U.S. and North America, Ingersoll-Rand (IR),Terex Corp (TEX), and Freeport McMoRan (FCX) were stocks with long broker sentiment, while Research In Motion (RIMM), Wyeth (WYE), and St. Jude Medical (STJ) had short broker sentiment. In general, the utilities and consumer staples sectors had long broker sentiment, while the information technology, health care, and energy sectors had short broker sentiment.

 |  |